HOUSTON–(BUSINESS WIRE)–lt;a href=”https://twitter.com/hashtag/Houston?src=hash” target=”_blank”gt;#Houstonlt;/agt;–Houston’s real estate values will be trending upward generally in 2019
as the metropolitan area experiences moderate economic growth, according
to Deal Sikes, a leading real estate valuation firm.

The Greater Houston Partnership forecasts the Houston metropolitan area
will add 71,000 new jobs in 2019, a solid gain that will boost real
estate markets overall, including both commercial and residential
properties, said Mark O. Sikes, principal with Deal Sikes.

“The outlook for Houston real estate in the coming year is good.
Although there will be exceptions, values of most property types will
show modest growth in 2019,” Sikes said. “Construction is generally
in-step with demand and there is no apparent oversupply of space in most
commercial real estate sectors.”

Houston ranked number three in the nation in job growth last year with
108,300 new jobs, surpassed only by Dallas-Fort Worth with 116,400 jobs
and New York with 115,500 jobs, according to the Bureau of Labor
Statistics.

“Single-family home sales hit a record-high in 2018 and Houston’s
multifamily market has staged a recovery from the softness reported two
or three years ago,” Sikes said. “Occupancy rates are very high in the
industrial and retail sectors and many of those properties will
experience significant increases in property appreciation in 2019.
Well-located sites and land parcels for development are in-demand and
prices are expected to be very strong for sites with the exceptional
qualities that suit new developments.”

The U.S. Energy Information Administration forecasts West Texas
Intermediate oil will average $54 per barrel in 2019, a price that
enables most domestic energy firms to operate profitably.

“With oil prices hovering in a healthy range, Houston’s office market
should show more signs of recovery in the year ahead,” said Matthew C.
Deal, principal with Deal Sikes. “The office market demonstrated renewed
growth in the latter part of 2018. A number of significant office
transactions have occurred recently in West Houston’s Energy Corridor
and in other parts of the city. The office market appears to be
regaining its footing and steady improvement is likely in 2019.”